HP results top Street forecast, raises forecast

SAN FRANCISCO (Reuters) - Hewlett-Packard Co on Wednesday reported preliminary quarterly profit and revenue that beat Wall Street's forecasts and raised its outlook for fiscal 2010.

The company also announced a deal to buy 3Com Corp for $2.7 billion.

The company reported fiscal fourth quarter net earnings on a preliminary basis of 99 cents a share, up from 84 cents a share a year ago.

Excluding items, profit was $1.14 a share, ahead of the average analyst estimate of $1.12 a share, according to Thomson Reuters I/B/E/S.

Revenue fell 8 percent to $30.8 billion, compared to the average Wall Street estimate of $29.8 billion.

HP forecast 2010 earnings per share of $4.25 to $4.35 excluding items, on revenue of $118 billion to $119 billion. It had previously forecast earnings per share excluding items of $4.20 to $4.30, and revenue of $117 billion to $118 billion.

For the fiscal first quarter the company forecast earnings excluding items of $1.03 a share to $1.05 a share, on revenue of $29.6 billion to $29.9 billion.

"Solid execution drove exceptional performance for HP this quarter, fueled by significant growth in China," Chief Executive Mark Hurd said in a statement.

(Reporting by Gabriel Madway; editing by Carol Bishopric)